Lorillard
Coupon Redemption Services Agreement
Fields
- Author
- Gilbert, J.J.
- Area
- LOEWS INTERNAL AUDITS (LIA)/BASEMENT GMP
- Type
- LETT, LETTER
- CONT, CONTRACT/AGREEMENT
- Recipient (Organization)
- Lor, Lorillard
- Named Organization
- Donnelley Marketing
- Dun Bradstreet
- Natl Bureau of Labor Statistics
- Post Office
- Dun Bradstreet
- Recipient
- Lawless, P.A.
- Date Loaded
- 14 Mar 2002
- Request
- R1-002
- Litigation
- Feda/Produced
- Author (Organization)
- Donnelley Marketing
- Dun Bradstreet
- Lor, Lorillard
- Dun Bradstreet
- Characteristic
- EXTR, EXTRA
- Master ID
- 89723164/3281
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- Site
- G131
- UCSF Legacy ID
- ifx43c00
Document Images
Donnelley
MariCeting
3fR7 a companv oF
.U3II Thc0un8 BmdstrcetCorporation
Coupon Redemption Services Agreement
Page 8
If this Agreement is acceptable to you, please indicate your
acceptance by signing both copies and return one signed copy
to me. Upon return of the signed Agreement, I will send it to
the Director-Coupon Redemption for action.
Sincerely,
Joseph J. Gilbert
Marketing Account Executive
AGREEMENT EFFECTIVE DATE: February 1, 1982
ACCEPTED FOR: ACCEPTED FOR:
LORILLARD, INC. DONNELLEY MARKETING
BY: BY:
(Name) (Name)
(Title) (Title)
(Date) (Date)

ponnelley
Marketing
!Lla11 arompanYo(
i hc Uun & endctrect Cor poratwn
Coupon Redemption Services Agreement
Page 4
10 Promptly destroy coupons redeemed and furnish
to you with an affidavit of such destruction.
You shall have the right, at reasonable intervals,
to have Donnelley's counts of your coupons verified
at your expense by any Certified Public Accounting
Firm or one of your employees, providing you
notify us in advance so coupons can be held for
the period to be checked.
You shall also have the right, at reasonable
intervals, to audit payments to invoices, and
other reasonable reviews you deem necessary,
without prior notice to Donnelley.
11. Donnelley shall retain copies of paid invoices
for a minimum of 24 months to answer queries
and for reference purposes.
12. Donnelley shall prepare the following redemption
reports:
12.1 Checks - issued weekly
_ q --- '
12.2 Check Register - weekly
12.3 Coupon Redemption Reports
12.31 Monthly Coupon Redemption - per
existing format, or other mutually
agreeable format, as you desire.
12.32 Monthly Brand Statistical Report -
per existing format.
12.33 Monthly Exception Report - This report
lists those invoices not paid for
various reasons shown (gang cut, mint
condition coupons, unusual printing,
on Donnelley Exception List, etc.)
on the report. Should you desire
later that we pay any of these coupons
(which we hold), we will respond
, immeidately.

Donnelfey
Marketing
'P g~ a<ompanvof
yDH3 Thc Wn& Sradstrcct [orporvnun
Coupon Redernplion Services Agreement
Page 2
3. Cost of any special reports you request, not
covered herein.
4. Donnelley Service Fee
Based on your current estimated annual redemptions
of approximately 25 million coupons, the Donnelley
service fee is $16.95 per thousand coupons
redeemed for 100% sort and coupon count.
"THERE IS NO ADDITIONAL AUTOMATIC COST-OF-LIVING,
OR OTHER FACTOR APPLIED TO THE FOREGOING FEE
PROPOSALS NOW OR IN THE FUTURE."
THE COST OF CHECKS AND ENVELOPES IS INCLUDED
IN THE ABOVE FEE. .
While the foregoing service fee covers the ensuing
12-month period, if your redemntions show a
significant change in less time than that, we
will be prepared to discuss an appropriate service
fee change based on the new redemption volume.
Such new service fee would, of course, become
effective immediately after mutual.agreement is
completed.
The service fee above, or as may be later revised,
remains in effect for a minim.um of one year from
agreement date, after which your Company and
Donnelley will mutually review the service fee
for possible change. The factors considered by
you and Donnelley shall include:
a) Substantial change in coupon redemption
volumes or number of coupon codes
processed.
b) Percent change in "National Bureau of
Labor Statistics Averaqe Manufacturing
Wage" from the previous year.
c) Change in Federal Minimum Wage Rates.
d) Improvements in Coupon Redemption Systems
by Donnelley that effectively reduce
costs.
1
:

Donneiley
Marketing
~+.q acompanyof
3$9:9 ihciwnBBradstrcclcorporalLon
Coupon Redemption Services Agreement
Page 7
J) Donnelley shall not be responsible for any cessation
or delay in the performance of its obligations under
this Agreement due to causes beyond its control,
including but not limited to, fire, accident, labor
difficulty, strike, riot, civil commotion, Act of
God, delays or errors in the United States mails,
or change in laws or regulations.
K) Donnelley shall not be responsible for the compliance
of the merchandise coupons with State, Federal or
local laws.
L) All notices reauired herein shall be in writing. The
mailing of a notice to you at the address shown above
or to Donnelley local office address or to such other
address as either party shall specify by.notice to
each other, shall constitute delivery thereof as of
the date of this mailing.
M) This Agreement may be terminated by either party uz,on
giving at least sixtp (60) days notice to the other
party. In the absence of any separate agreement
terminating this Agreement, Donnelley shall, not
sooner than sixtv (60) days after giving or receiving
such termination notice, close the Post Office Box
maintained for coupon receipt and instruct the Post
Office to forward all mail received thereafter to
you at your expense, which expense you agree to pay.
N) This Agreement shall be construed on accordance with
the laws of the state oertaining to the client, and
mav not be amended or modified exceot in writing
duly signed by both parties.
0) Service to vou is furnished bv Donnelle_v on a non-
exclusive basis and Donnelley is not restricted from
furnishing the same type of service outlined above

MarKeting
3Bseompanyof
Thelwn& BradctrcctCorporation
Coupon Redemption Services Agreement
Page 5
F) BILLING AND BILLING INFORMATI"ON
Retailer Pavments Billing for retailer payments shall be weekly,
with immediate payment upon receipt of the invoice.
13. Other Billings to the Manufacturer
The Donnelley service fee and all other charges
as described in this agreement shall be billed
to the manufacturer on a monthly basis and due
when received. A monthly billing statement
shall accompany the monthly billing and will
consist of:
a) Value of coupons redeemed, including retailer
handling charges for all coupons redeemed.
The statement shall be supported by all weekly
check registers.
b) The Donnelley service fee is based on actual
coupons processed during the month as shown
on the redemption reports and check registers
submitted to the manufacturer.
Zs ~o ~'-- ~~ + nh~-^
, stage on cha_..s zaen cu_, ~rp_ng cha_ges
for coupons received from retailers or their
clearinghouses.
d) Other miscellaneous charges as specifically
described herein are to be separately itemized
on the monthly billing invoice.
e) Coupons processed and placed on the exception
Report(s) are charged for at the per thousand
rate described.

Donnelley
Marketing
'i~1lp acompanvof
.MSStaiThc Uun & 6radsrrcct forporatmn
Coupon Redemption Services Agreement
Page 6
14. Research Information
On'occasion, Donnelley Marketing develops and
issues general couponing and redemption infor-
mation which may be of considerable value to
you. This information is available to you
without charge. Should you have some need
for special information, we would be iiappy to
assist you. Normally, there is no added charge
involved.
r) To maintain your good customer relations, only retailer
submissions containing errors (.plus or minus) of $5
or more, or 1/10th of 1% of the amount recruested but
not exceeding $25, will be changed and reported to
the submitter. Invoices from unacceptable retailers,
or containing misredeemed coupons, will not be paid
for any amount without your approval.
H) Security
All information relating to your Redemntions remains
strictly confidential between "your Company and your
Redemption Center Coupon Redemption Team.'r The
information generated is your exclusive property
and will not be used for any other purnose except
as you direct, nor without your expressed approval.
All such records and reports are to be kept under
strict security measures, as are all other coupon
redemption customer information.
I) Donnelley will take all reasonable precautions against
errors in receiving, handling and accounting for your
merchandise counons.
Donnelley carries adequate public liability, property
damage, fire, theft and workmen's compensation insurance
on all personnel, eauipment and materials, which also
protects you against claims arising out of the work
to be performed by Donnelley under this Agreement.
Donnelley agrees to indemnify and hold you blameless
against loss, theft or destruction of your merchandise
coupons while in Donnelley's possession or custody
arising from the negligence of Donnelley; provided,
however, that Donnelley's liability for such loss,
theft or destruction of your merchandise coupons
shall be limited to the replacement value thereof,
except in the case of the theft and subseauent
redemption thereof where Donnelley's liability shall
be measured by the redemption value of such coupons.

D®nnelley
J Marketing
7ffEa acompanvof
YiII9 ThcnunS6radslrcctCUrporalion
Mr. Paul Lawless
Lorillard, Inc. 666 Fifth Avenue
New York, NY 10019
Dear Mr. Lawless:
Coupon Redemption Services Agreement
December 15, 1981
This Letter of Agreement.sets forth the entire understanding
between Lorillard and Donnelley Marketing with respect to
the services to be performed by Donnelley in redeeming coupons
issued by Lorillard during the term of this Agreement.
Details of the coupon redemption are as follows:
A) Coupons issued by you shall contain instructions to
retailers so that such coupons may be redeemed by
submitting same to you, at:
Lorillard Coupon Redemption Program
Post Office Box 1446
Elm City, NC 27898
B) To aid Donnellev in the prompt and efficient per-
formance of its services under this Agreement, you
agree to furnish to Donnelley in advance of each
coupons issued the information as described in
attached form letter, Exhibit "A".
C) You agree to honor all legitimate coupons submitted
by retailers to Donneliev.
D) You agree to pay Donnelley nromptly upon presentation
of invoices the following charges:
1. Amounts due to retailers for the face value,
retailer handling charge, and retailer postage
or shipping charges for coupons redeemed.
2. Collect transportation charges paid by Donnelley
in connection with your shipments. Postage
incurred by Donnelley in issuing retailers
reimbursements and answering queries.

Donnelley
Marketing
~~9 a companvo(
Y93.~ ihc Oun & 8radstrcct Corporation
Coupon Redemption Services Agreement
Page 3
E) Donnelley agrees to render.the following services in
connection with this Agreement:
1. Rent and pay the rental fee for a Post Office
Box as designated by Donnelley.
2. Open all mail received and send miscellaneous
correspondence not dealing with coupon redemption
to you. Answer all retailer queries promptly
and tactfully, and (if you desire), send a copy
of any such correspondence to you.
3. Remove coupons from the container, -;erify the
count supplied by the retailers, verify the
computations supplied by the retailers, and
record all postage or express charges paid
by the retatlers if they request reimbursement.
4. Inspect coupons for gang cut, mint condition,
unusual printing and other misredemption indica-
tions and disposing of such questionable redemption
problems in a mannpr-mutually agreeable to both
you and Donnelley.
5. Check retailer payment requests against the
"Donnelley Master Exception List" and bring such
remittance requests to your attention or process
payment and send check to you for issue or
cancellation.
6. Check new coupon clearinghouses with Dun &
Bradstreet reports.
7_ Verify all submissions using Post Office Box
address by a Dun & Bradstreet report, corres-
pondence, telephone or other acceptable means
to verify the physical location and phone
number of the legitimate business establishment.
B. Prepare checks, insert into window envelope,
seal and mail via First Class mail. Payments
shall be issued weekly.
9. Coupon redemption report(s) shall be prepared
each month based on 100% actual sort and count.
